- Inspection year
- 2024
- Report date
- 27-Feb-2025
- PCAOB release
- 104-2025-051
- Audits reviewed
- 2
- Audits w/ Part I.A deficiencies
- 2
- Part I.A deficiency rate
- 100%
- Part I.A deficiencies
- 24
- Part I.B deficiencies
- 9
- Report
- View PDF ↗
Deficiencies (24)
Grouped by issuer and in the same order as the PCAOB report, so each item ties back directly to the source.
Issuer A13 deficiencies
| # | Area | Deficiency | Standard | Flags |
|---|---|---|---|---|
| 1 | Revenue | The firm did not evaluate the appropriateness of the issuer's revenue recognition policy for certain revenue. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 2 | Revenue | The firm did not perform sufficient procedures to test a subset of this revenue because it limited its procedures to tracing certain transactions to cash receipts. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 3 | Revenue | The firm did not perform procedures to test another subset of revenue beyond reviewing a sales listing obtained from an external source. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 4 | Revenue | The firm did not identify and evaluate the issuer's omission of certain disclosures required by FASB ASC Topic 606 Revenue from Contracts with Customers. (AS 2810.30 and .31) Financial statement audit only | AS 2810.30; AS 2810.31 | |
| 5 | Certain Assets | The issuer reported several types of certain assets. The following deficiencies were identified: · The firm did not perform procedures to test the rights and obligations of these assets. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 6 | Certain Assets | The issuer reported several types of certain assets. The following deficiencies were identified: · The firm did not evaluate the relevance and reliability of information it obtained from external sources and used to test these assets. (AS 1105.04 and .06) Financial statement audit only | AS 1105.4; AS 1105.6 | |
| 7 | Certain Assets | The issuer reported several types of certain assets. The following deficiencies were identified: · The firm did not perform any procedures to test the existence of certain of these assets. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 8 | Certain Assets | The issuer reported several types of certain assets. The following deficiencies were identified: · The firm did not evaluate whether the issuer's (1) accounting for certain of these assets and (2) presentation of certain other of these assets were appropriate. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 9 | Certain Assets | The issuer reported several types of certain assets. The following deficiencies were identified: · The firm did not sufficiently evaluate the issuer's determination that there were no indicators of impairment for certain of these assets at certain dates because it did not evaluate whether the issuer had appropriately applied GAAP in identifying indicators of impairment. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 10 | Certain Assets | The issuer reported several types of certain assets. The following deficiencies were identified: · The firm did not perform procedures to test activity reported in the statement of cash flows related to these assets beyond tracing amounts to summarized account activity in the issuer's general ledger. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 11 | Certain Assets | The issuer reported several types of certain assets. The following deficiencies were identified: · The firm did not evaluate whether the method used by the issuer to develop an estimate of certain of these assets was in conformity with certain applicable GAAP requirements. (AS 2501.10) Financial statement audit only | AS 2501.10 | |
| 12 | Certain Assets | The issuer reported several types of certain assets. The following deficiencies were identified: · The firm did not identify and evaluate the issuer's omission of certain disclosures required by FASB ASC Topic 820 Fair Value Measurement. (AS 2810.30 and .31) Financial statement audit only | AS 2810.30; AS 2810.31 | |
| 13 | Journal Entries | The firm did not identify and select journal entries and other adjustments for testing to address the potential for material misstatement due to fraud. (AS 2401.58) Financial statement audit only | AS 2401.58 | Significant risk |
Issuer B11 deficiencies
| # | Area | Deficiency | Standard | Flags |
|---|---|---|---|---|
| 1 | Revenue | The firm did not perform sufficient procedures to evaluate whether the issuer satisfied its performance obligations prior to the recognition of revenue because it limited its procedures to testing cash receipts. (AS 2301.08 and .13) Financial statement audit only | AS 2301.8; AS 2301.13 | |
| 2 | Revenue | The firm did not perform procedures to test sales discounts. (AS 2301.08 and .13) Financial statement audit only | AS 2301.8; AS 2301.13 | |
| 3 | Revenue | The firm also did not perform procedures to test or test any controls over the completeness of certain information it used to test revenue. (AS 1105.10) Financial statement audit only | AS 1105.10 | |
| 4 | Revenue | The firm did not identify and evaluate that certain of the issuer's disclosures related to revenue were inaccurate. (AS 2810.30 and .31) Financial statement audit only | AS 2810.30; AS 2810.31 | |
| 5 | Revenue | The firm did not identify and evaluate the issuer's omission of certain disclosures required by FASB ASC Topic 606 Revenue from Contracts with Customers. (AS 2810.30 and .31) Financial statement audit only | AS 2810.30; AS 2810.31 | |
| 6 | Significant Accounts | The firm did not perform procedures beyond inquiry to evaluate the reasonableness of certain significant assumptions the issuer used to develop its valuation of certain significant accounts. (AS 2501.16) Financial statement audit only | AS 2501.16 | |
| 7 | Significant Accounts | The firm did not evaluate whether the method used by the issuer to develop its estimate related to one of these significant accounts was in conformity with GAAP. (AS 2501.10) Financial statement audit only | AS 2501.10 | |
| 8 | Significant Accounts | The firm did not perform any procedures to test the valuation of another significant account. (AS 2501.07) Financial statement audit only | AS 2501.7 | |
| 9 | Significant Accounts | The firm did not perform procedures to evaluate and test certain aspects of this significant account. (AS 2301.08) Financial statement audit only | AS 2301.8 | |
| 10 | Statement of Cash Flows | The firm did not perform any procedures to test certain information reported in the statement of cash flows including an evaluation of evidence that indicated that the information reported was potentially inaccurate. (AS 2301.08 and .11; AS 2810.03) Financial statement audit only | AS 2301.8; AS 2301.11; AS 2810.3 | Significant risk |
| 11 | Journal Entries | The firm did not identify and select journal entries and other adjustments for testing to address the potential for material misstatement due to fraud. (AS 2401.58) Financial statement audit only | AS 2401.58 | Significant risk |